Trinidad Recession Denied by Prime Minister

TRINIDAD AND TOBAGO · ECONOMY

The Trinidad recession debate reached Parliament on Monday 19 October 2026, when Prime Minister Kamla Persad-Bissessar rejected the claim. She said the country “is in progression” and pointed to International Monetary Fund growth forecasts.

The Trinidad recession row matters to US energy and bond investors, because the IMF expects the country’s energy output to shrink this year. She also defended plans to sell the Trinidad Hilton hotel and a Tobago beach resort to private investors.

What the Prime Minister Told Parliament

Persad-Bissessar spoke in the House of Representatives during the 2027 national budget debate, the Trinidad Guardian and CNC3 reported. She said Trinidad and Tobago “is not standing still” and “is in progression”, and she dismissed the Trinidad recession claims.

Her target was the People’s National Movement (PNM), which governed for a decade until her United National Congress (UNC) took office in 2025. The PNM now leads the Opposition under Pennelope Beckles and says the economy is shrinking.

The Growth Numbers on Each Side

The prime minister said IMF projections show growth of 0.8% in 2026, 3% in 2027 and roughly 3.5% a year in 2028 and 2029. The IMF, the Washington lender that reviews each member economy yearly, put 2026 growth at about 0.8% on 18 May 2026.

That IMF statement also projects energy output to fall 4.5% in 2026, so the rest of the economy must make up the gap. The Opposition points to the Finance Ministry’s own review, which former finance minister Colm Imbert told Parliament shows a 2.2% fall this year.

The Debt Figures She Cited

She said adjusted government debt rose from TT$75.38 billion (about US$11.1 billion) in fiscal 2015 to TT$140.58 billion (about US$20.8 billion) in fiscal 2024. That is up 86.5%, which she blamed on the PNM (conversions at about 6.77 TT dollars to US$1 on 21 October 2026).

She said her administration has already borrowed more than TT$21 billion (about US$3.1 billion) to refinance inherited debt. Another TT$70 billion (about US$10.3 billion) falls due over the next five years, she told the House.

Why She Wants to Sell State Companies

The prime minister rejected the Opposition charge of a “fire sale” of state assets. “I heard one of them say it’s a fire sale, and nothing is further from the truth,” she said.

She asked why taxpayers should keep paying for companies that record steady losses. Earmarked for sale are the Magdalena Grand Beach and Golf Resort, the Trinidad Hilton and the Caribbean Dockyard and Engineering Company, known as Caridoc.

What the Hotels Cost the State

Persad-Bissessar said Magdalena Grand has piled up losses of TT$240 million (about US$35 million). She added that the Government had been asked for about TT$400 million (about US$59 million) to upgrade the Trinidad Hilton.

The Trinidad Express reported on 16 October that the Government is preparing formal invitations to bid for the Hilton, Magdalena Grand and National Quarries Limited. The Prime Minister gave no timeline and said the Government would work with investors so that employees are treated fairly.

What It Means for You

For US investors, the Trinidad recession dispute shows that officials and the Opposition read the same economy in different ways. Anyone holding the country’s bonds or energy shares should watch gas output, since the IMF expects the energy sector to shrink.

For travellers, no closure or change for guests at the Trinidad Hilton or Magdalena Grand has been announced. A related Rio Times report covers the budget debate and the 2.2% decline claim.

What Is Not Known

No sale price, bidder list or deadline has been published for the Hilton, Magdalena Grand, Caridoc or National Quarries. The Government has not said how many workers are affected or what protections they will get.

The IMF’s May statement gives 0.8% for 2026. The 3% for 2027 and the 3.5% average for 2028 and 2029 are the Prime Minister’s own figures from the debate.

More: Latin America news in English, every day from The Rio Times.

Frequently Asked Questions

Is there a Trinidad recession?

The Prime Minister says the Trinidad recession claim is false and cites IMF growth of 0.8% in 2026. Opposition MP Colm Imbert says a Finance Ministry review shows a 2.2% fall in output this year.

What did the Trinidad prime minister say about the recession?

Kamla Persad-Bissessar told Parliament on 19 October that the country “is in progression” and not standing still. She cited IMF forecasts of 0.8% growth in 2026 and 3% in 2027.

Which state companies will be sold?

She named the Magdalena Grand Beach and Golf Resort, the Trinidad Hilton and Caridoc, the state dockyard company. The Express also reported plans for National Quarries Limited.

How much debt does Trinidad and Tobago have?

The Prime Minister said adjusted government debt reached TT$140.58 billion (about US$20.8 billion) in fiscal 2024. She said a further TT$70 billion (about US$10.3 billion) falls due over five years.

Does this affect US visitors?

No change for hotel guests has been announced. The sales are still at the planning stage.

Sources: CNC3, 20 October 2026; Trinidad Guardian, 20 October 2026; Caribbean National Weekly, 21 October 2026; IMF, 18 May 2026; Trinidad Express, 16 October 2026; Trinidad Express, 18 October 2026.

This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief

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